San Diego Taiwanese Cultural Association
http://www.taiwancenter.com/sdtca/index.html
FINANCIAL CORNER
Lily M. Hazelton, ChFC, CFP
吳美華
IRA SEASON
Since this is the season of IRAs, the following information might be of interest to some of the readers:IRA & Roth IRA: For 2005 & 2006, individuals who are eligible may contribute up to $4,000 to IRAs. Additionally, individuals aged 50 and older may make an additional catch-up contribution of $500 for 2005 and $1,000 for 2006.
SEP IRA: For 2005, employers may be able to contribute up to the lesser of $42,000 ($44,000 in 2006) or 25% of compensation to SEP IRAs.
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If you are making plans for 2006, here is some additional information to keep in mind:
SIMPLE IRA: Plan participants may elect to defer as much as $10,000 in 2006. Participants aged 50 and older may defer an additional $2,500 in 2006 for a total of $12,500.
401(k): Plan participants may defer up to $15,000 in 2006. Participants aged 50 and older may make an additional catch-up deferral of $5,000 in 2006 for a total of $20,000.
The information contained herein is not intended as a substitute for
direct financial or legal advice.